Nintendo Stock Price Jumps After Announcement From Tencent

Nintendo's stock price jumped by more than 7 percent this week, apparently in response to the news that a game from Chinese internet giant Tencent in coming to Nintendo Switch. The company's multiplayer online game Arena of Valor was announced for Nintendo Switch during a Nintendo Direct and it's due out later this year.

Sources told The Wall Street Journal that investors are enthusiastic about the news because it "could be a precursor to arrangements allowing Nintendo to sell the Switch and its mobile games in China." China, of course, is a massive market for gaming, and if Nintendo can have success in the region, that could end up being a big bottom line-booster.

WSJ also reported that Nintendo has been "looking for ways to expand in China" and is considering Tencent as a potential partner, according to sources. The insiders said Nintendo thought about bringing the Wii U to China but walked away from this.